The following excerpt is from Olivas-Motta v. Whitaker, 910 F.3d 1271 (9th Cir. 2018):
When an agency decides to create a new rule through adjudicatory action, that new rule may apply retroactively to regulated entities. SEC v. Chenery Corp. , 332 U.S. 194, 203, 67 S.Ct. 1760, 91 L.Ed. 1995 (1947). "[R]etroactivity must be balanced against the mischief of producing a result which is contrary to a statutory design or to legal and equitable principles." Id. "If that mischief is greater than the ill effect of the retroactive application of a new standard, it is not the type of retroactivity which is condemned by law." Id.
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